“…A brief derivation of the equations to be estimated in the empirical analysis follows. For further details see Singh, Squire, and Strauss (1986), de Janvry, Fafchamps, and Sadoulet (1991), Melmed-Sanjak and Santiago (1996), Shively (2001), and Sills et al (2003). 3 Households are assumed to maximize utility over an infinite time horizon, a function of the consumption of home-produced agricultural goods (X A ) , market goods (X M ) , and leisure (LL), through the quasi-fixed inputs labor (L) and land (D), conditioned on household and lot characteristics (H): (W H ).4 It is assumed that family and hired labor cannot be substituted perfectly and that the household is a price taker (i.e., it has no influence on the prices for off-farm labor, agricultural goods, or the prices of inputs).…”